Airheads

Belinda owns two one-bedder investment condos in DT Toronto, near the entertainment district. Between them, almost a million in mortgages outstanding, plus some of the highest condo fees and property taxes in the core. Naturally, she’s a realtor.

Given the fact rents there average about two grand a month, I asked why. “They’re gold mines,” she says. “I’m clearing $30,000 a year on each one doing short-term rentals.” Turns out, that’s true – at least for now. Airbnb keeps the units full of young hipsters flying in from exotic places like Sarnia and Moncton to get wasted in the Big Smoke.

Of course, the rentals are illegal. The building occupied is a registered condo with bylaws strictly prohibiting short-term rentals and requiring owners who rent out their units to have leases in place for at least a year. But, you know, in a big tower in a big city people come and go at all hours, never know their neighbours, and the condo board has no cops or investigators. Nobody stops Belinda.

Nor is the city cracking down – yet. Regs against Airbnb’s destructive impact were passed more than a year ago, but have been tied up in legalities since. Once in force, they’d restrict short-term rentals to the principal residences of homeowners taking out a license. No investment condos. No buying houses just to lease them out by the night, in whole or part. No listing of multiple properties online.

But until then, it’s a gong show. Two-thirds of all Toronto Airbnb listings are for complete homes. Over 8,000 are for properties (like Belinda’s) that won’t be allowed under the new rules. Critics cry for action, given a 1% vacancy rate, escalating rents and the inflated real estate values that Airbnb helps create.

Ditto in Vancouver, where anti-Airbnb measures came into effect four months ago. They let homeowners rent out parts of their homes for up to 30 days, if they register, but make it illegal to lease an entire property, or one that’s not a principal residence. Once the regulations took effect, Airbnb was forced to remove over 2,000 listings, or a third of those in YVR. But the city says more than a thousand remain which are not compliant, and each one represents an apartment which could be leased out to a needy moister.

Well, Airbnb’s been fighting back, of course. The company slams what it calls “the hotel lobby, seeking to villainize families who are making a little extra income by sharing their homes.”

Right. And Uber’s just a bunch of helpful guys sharing their cars, not a taxi service.

This week a report says reigning in the rental web site would add 6,500 apartments to TO’s housing stock – a huge number. Of course, shuttering Belinda’s two-unit empire would immediately make owning those condos nonsensical, creating negative cash flow, maybe prompting her to sell. If the next investor could only rent residentially for $2,000 a month, instead of $150 a night, prices might deflate.

This is not just a big-city woe. Airbnb (and its wannabe competitors) are helping destroy the fabric of life in small communities, too. When I visit my favorite little NS town of Lunenburg, it’s easy to see how the short-rental craze and its easy profits have led to DHS – dark house syndrome. So many people have bought houses just to Airbnb them during the lucrative summer months that they stay dark and shuttered through the off season.

So what?

So families looking for stable, long-term rental digs can’t find them. The vacancy rate falls to about zero. The local population base thins. Suddenly it’s a tough go for the corner pharmacy and hardware store to stay open all year. Shops close. Business taxes vanish. The long-standing hotel or licensed inn takes a hit. People lose jobs. All so a remote property owner can suck income from tourists and then, likely, not declare it as taxable income.

So the battle rages.

On one side are those who believe they have the right to rent out an asset as they see fit to visitors hungry for cheap accommodation. On the other side are condo owners who see their buildings turned into hotels, low vacancy rates and high rents, hollowed-out towns, struggling hotels, job losses and tax evasion. In the middle are governments bewildered and rudderless in this so-called sharing economy.

So I told Belinda she should sell and pocket the capital gains before the rules change. She laughed.

171 comments ↓

#1 Guy in Calgary on 01.10.19 at 5:48 pm

Tough question.

On one hand I say it is your property do what you want. On the other hand my NIMBY side kicks in when I think about “what if it was in my hood”?

No easy answers. I think it should be allowed but regulated ergo, they are heading in the right direction.

#2 Terry on 01.10.19 at 5:53 pm

“So I told Belinda she should sell and pocket the capital gains before the rules change. She laughed.”

That’s the way it is in this world now Garth. Sink or swim. Every man for himself. Make your living, make a little bit extra or get away with whatever you can anyway you can. Almost nobody cares anymore!

#3 BIG LEAFS FAN on 01.10.19 at 5:57 pm

Belinda should also know that she would be in violation of her mortgage covenants as well. If Lender finds out could get interesting.

#4 eightlock90 on 01.10.19 at 5:58 pm

These people should need business licenses, insurance and fire inspections just like any other business. They should also be paying tax.

I won’t have any sympathy for old Belinda’ when the CRA starts snooping around and decides she owes years of back tax for her illegal air bnb rentals.

#5 HT on 01.10.19 at 5:59 pm

“Ditto in Vancouver, where anti-Airbnb measures came into effect four months ago. They let homeowners rent out parts of their homes for up to 30 days, if they register, but make it illegal to lease an entire property, or one that’s not a principal residence”
———

Slight correction: You can rent an entire property short term, as long as it is your principle residence and you have obtained a license.

Per the CoV website:

“A short-term rental can be an entire home, or a room within that home, that is rented for less than 30 consecutive days at a time.

A short-term rental can only be operated from your principal residence – the home where you live, as an owner or tenant, and use for bills, identification, taxes, and insurance.

I perused Airbnb today and noticed an awful lot of entire-home listings. I suspect many of them are not principle residences (presumably the owner contends to be away of vacation or something and elects to rent out their home). The fine is supposedly $1000 per offense, but I haven’t yet heard of any enforcement.

Surely Toronto will do the same after Vancouver’s precedent. Could you imagine your condo’s floor turning into a hotel by a bunch of your “neighbours?” That would be awful.

#6 SunShowers on 01.10.19 at 6:00 pm

Eyyy, good blog post today Garth!

It’s very true that governments have yet to catch up with the “sharing economy” and institute proper regulations. Case in point, the number of app-based employers who misclassify their workers as “independent contractors” instead of employees so they don’t even get paid minimum wage. It’s all a dang scam…

#7 Shawn Allen on 01.10.19 at 6:03 pm

Pierre Trudeau said the state has no place in the bedrooms of the nation.

But times change…

70 years ago lots of people rented a room from a land lady. Widows in the days before old age pension took in boarders. Then for a long time such things fell way out of fashion or the regulations were too harsh.

Now we see house sharing coming back enabled by technology. There is an efficiency to it. Making use of wasted idle space.

It needs regulation but it’s here to stay.

#8 Godth on 01.10.19 at 6:04 pm

“My name is Michael and I am an addict. I have been addicted to industrial civilization for over 60 years. As an addict I could not stop drinking from the, seemingly endless, fountain of available goods. Even when I realized the planet that we live on is going to die I could not stop. Even though I knew that my behavior was contributing to the extinction of all life on earth I could not stop. Even knowing that everything we know and do would soon come to a crashing end I could not stop. I knew, as sure as the sun would rise tomorrow, that I would participate again. This is the horror and hopelessness of being addicted. This addiction, as ugly as it is, will be with me until the very end.”
http://waypastwtf.blogspot.com/2019/01/civilization-anonymous.html

#9 It ain't going to change on 01.10.19 at 6:05 pm

Canada is weak on any law enforcement.

A massive RCMP investigation of alleged underground bankers in Richmond, B.C., estimated to be laundering over $1 billion per year collapsed in November because federal prosecutors mistakenly exposed the identity of a police informant who they feared could have been killed if the case proceeded, Global News has learned.

No charges. Enjoy your criminal life in Canada. Thank you tax payers.

#10 Centre-Right? on 01.10.19 at 6:07 pm

I know what will fix Lunenburg NS. Tax the foreign buyers, tax the speculation!

BC will send Comrade Horgan right away.

#11 renter in Surrey on 01.10.19 at 6:13 pm

let’s ban Netflix so people go to movie theaters

let’s ban websites so people read newspapers

#12 RBull on 01.10.19 at 6:14 pm

You’re right Garth. It’s broken and there are consequences. A lot of consequences. Where are the elected ones?

#13 Mike Mannion on 01.10.19 at 6:16 pm

I’m not surprised that someone who believes renting over purchasing is pushing for VRBO/AirBNB rentals to be outlawed.

I was a VRBO renter long before being an owner. I built a carriage house on my property to house a classic car, the suite above was added to bring in income to pay for the build and help with my mortgage.

I’ve now sold it all and I’m renting on the beach while all my belongings are in storage.

I see both sides of the debate and it’s not an easy one. My place was on 5 acres and bothered nobody. Couldn’t imagine living in a place with AirBNB renters next door. in fact my place on the beach has AirBNB rentals on either side of me. It’s winter so it’s quiet right now but I’m sure that will change come summer.

One thing you miss in your rent versus own debate is being happy where you live. If your comparing a suite in a tower or condo unit buy versus rent that’s easy but in rural Canada it’s a lot different, especially when your talking view property or waterfront living. Finding decent rentals in rural areas is difficult, especially in todays market.

I am in the middle of trying to decide between buying or renting and your blog helps but so does reading the comments section after your blog to get another perspective.

Cheers

#14 Co-op housing? on 01.10.19 at 6:18 pm

I’m glad to see you’re acknowledging some of the broader challenges faced by renters. This is part of why mills are desperate to buy homes – it’s because there are no rentals and they’re scared. Governments have also completely ignored the fact that rents have increased astronomically. As a renter you now pay substantially more than you did 5 years ago (I’m not talking about in super cool city digs – I’m talking borderline rural areas) and renters don’t have any control if their landlord wants to ‘renovict’ them.

Garth, what are your thoughts on governments focusing on building co-op housing? Is that a viable solution or are there pitfalls there too?

#15 Mr pragmatic on 01.10.19 at 6:21 pm

30k a year net profit for what appears to be a business that requires certainly more time and effort than an alternate equal effort in a legal business that would probably generate better net results.

Me thinks Belinda the realtor is so dry of sales commission that her 30k a year net may indeed look like gold to one who is so devoid of financial knowledge .

#16 AGuyInVancouver on 01.10.19 at 6:22 pm

Air BnB is a scourge. If you can’t afford a hotel, you really can’t afford to travel. You might be able to justify a house swap. Why anyone would want to rent some stranger’s grubby apartment, arrange illicit key pick-ups is beyond comprehension.

#17 NothingBurger on 01.10.19 at 6:22 pm

Belinda is too street smart to be fooled into selling. She knows that Legislation without enforcement is as good as having no legislation at all.

It may even better because the sheeple will naively believe the government is looking out for them because a law on a piece of paper says so. But a law with no teeth (enforcement) is a total joke.

Viva la Airbnb!

#18 meslippery on 01.10.19 at 6:24 pm

In PEI I have seen strip motels go the other way by making them into long term year round rentals due to the short summer season.
House prices are so high in Toronto you have to rent your home to hookers for the 8 to 10 hours a day while your at work.

#19 BlogDog123 on 01.10.19 at 6:24 pm

Don’t forget: Uber and AirBnB business models rely on skirting around all those regulations and rules. They don’t apply to the new economy…

Uber
– Don’t need those pesky taxi licences, rules on how old the car is, municipal licensing, applications, forms, tests, dispatch licenses, criminal background checks, onerous driving tests, …

AirBnB
– Who needs those annoying municipal hotel taxes, sprinker systems, fire doors, pest control, parking spots, fire exits, pool rules/regs, zoning restrictions, fire dept inspections, front desk staff.

Fear not! When the wheels fly off your Uber and your AirBnB rental catches fire, it’ll be the government’s fault once again !

#20 Leichendiener on 01.10.19 at 6:27 pm

Belinda, meet the CRA. The electronic trail is there forever. The problem is global. Visit Iceland.

#21 The Wet One on 01.10.19 at 6:34 pm

Hmmm…

This could very well explain exactly what is going on with a neighbouring property.

This explains everything rather nicely.

Oh crap.

:-/

#22 NothingBurger on 01.10.19 at 6:35 pm

@ #9

More fake news. That informant likely doesn’t even exist. It is just an excuse to feed to the sheeple on why justice will not be served.

The real story is that wealthy locals, housing developers, land owners, Porsche and Mercedes dealerships, all know that the money is just too delicious to stop. They all fear that more of the money will remain offshore if it has to come into Canada legally and be taxed.

Remember, the government doesn’t think twice about sending young men into conflict zones and now they are trying to say they are not willing to sacrifice one lousy informant for an estimate $1 Billion a year in taxable cash? What a lie.

The next time you get stopped at the border and ordered pay duty on your $80 purchase, just be a good citizen smile and be thankful that the wealthy tax cheats get to bring in millions upon millions duty free and with the full blessing of the governments you elect.

#23 Fish on 01.10.19 at 6:39 pm

Red Deer man to face trial for alleged $10.2M light tower pyramid scheme
Joshua Tenhove, who faces charges of laundering, fraud, is accused of bilking millions from investors
The Canadian Press · Posted: Jan 10, 2019 4:02 PM MT | Last Updated: 29 minutes ago

https://www.cbc.ca/news/canada/calgary/trial-joshua-tenhove-red-deer-1.4973913

#24 WUL on 01.10.19 at 6:42 pm

Why on earth would Ms. Stronach sell the condos? Mortgages nearing $1MM. Pocket change.

#25 Getto Toronto on 01.10.19 at 6:43 pm

Yes, yes……it’s all good! Strangers living in condos owned by speculators. Doing who knows what? How long before we hear about a unit burning down. Or fluted out by an over flowing toilet. Who’s to blame…..who cares, it’s all good right. A huge city with rising murder rates, all dying to live in congestion central. Over leveraged owners with higher maintenance fees and higher taxes huge mortgages. Creating more unaffordable housing. Slant semis as old as Mosses and thousands of high density dumps bring rented out to careless out of town strangers or who ever. Every side streets crowed with cars without permits. Well this is certainly a place you want to call home…not! Explaine why there’s no end insight for affordability. You couldn’t pay me enough to consider living in Toronto. IMO, it’s a s—t hole. Sense tell me the smart money is hitting the road. As they say, when it’s too good to be true it usually is! ….. C’est lavie.

#26 the ryguy on 01.10.19 at 6:46 pm

Must be some of you blog dogs that rent their spots using airbnb..do they withhold anything for the CRA? I heard they withheld in some cases for the IRS but that was through the grapevine..anyone confirm or deny?

#27 Long-Time Lurker on 01.10.19 at 6:50 pm

It could have been worse. Belinda could have flown off to India to star in her own Bollywood movie. Prime Minister or court jester?

https://www.bbc.com/news/world-asia-india-43151115

https://www.dailymail.co.uk/news/article-5421779/Justin-Trudeau-ridiculed-Indians-fake-outfits.html

https://www.dailymail.co.uk/news/article-5427641/Justin-Trudeau-dances-bhangra-dinner-India.html

#28 yvr_lurker on 01.10.19 at 6:54 pm

I almost (or hopefully) detected a small hint of a soft left-leaning view from Garth here that an unchecked Mr. Market with no government controls can lead to undesirable results. Holly shit, thought I’d never see the day, but perhaps am wrong here, as there was no definitive conclusion given.
Indeed, without controls on Air-Bnb in major cities or in desirable tourist summer destinations, places that could be rented to students, temporary workers, low-income service people on a longer term basis, are replaced by people running their houses or investment condos like a hotel for big $$$, which leads to problems in small towns (such as Lunenburg) that Garth describes. Just replace Lunenburg by Summerland, Penticton etc… and it is the same. Effectively this removes much of the housing supply for these folks.

I thought through this blog that Mr.Market should always be left to self-equilibrate without external Gov’t intervention. No extra taxes, regulations are good to direct the market. Supply and demand will eventually meet without the need for the government being involved. Who gives a %^%&*^ that there are few rentals for students, low income people, etc…

Many of my neighbours in Kitsilano ran their basement suites like hotels, up until about 6 months ago when they feared the crackdown by the city. Previously these were always rented out on an 8-month stretch to University students.

#29 AM in MN on 01.10.19 at 6:55 pm

Garth,

You sound like the NDP when you start moaning about there not being enough rental stock.

You ignore the basics of supply and demand. If there’s so much demand, prices will rise and supply will follow. What right does someone have to live right on the subway line next to all the good restaurants for half the market price? They can move out to the valley or a small town, plenty to rent there.

Condos are being built in Vancouver on every surface parking lot they can find. Coquitlam Center almost went out of business 30 years ago, today they’re planning 11 new condo towers on the mall parking lots, some up to 60 stories. Ditto the ones already being built in Brentwood and Surrey and elsewhere.

Give the market time and it will catch up.

You have no right to devalue someone else’s property simply due to greed or envy.

If small NS towns are empty in the winter, perhaps they could offer seasonal rents (or tax reductions?) as a carrot? Again, let the market find solutions.

Nothing wrong with requiring business licenses, insurance, tenant registration etc…, but the government must not be allowed to control prices.

Many small lakeside towns in New Hampshire make a fortune on property taxes from properties that are empty 9 months/year. The residents enjoy the lower school taxes, and so should the residents of your town.

#30 long time reader on 01.10.19 at 6:56 pm

Hopefully Belindas insurance company isn’t also reading this. Most personal (non commercial) rented condo policies do not entertain airbnb. 1 tenant on a yearly term is standard.

#31 akashic record on 01.10.19 at 6:58 pm

Airbnb had 2.6 billion USD revenue in 2017, 3100 employees. It is now a de facto accepted member of the hospitality industry.

That’s a considerable clout that stands behind Belinda to monetize her personally owned resource.

#32 Stone on 01.10.19 at 6:58 pm

So I told Belinda she should sell and pocket the capital gains before the rules change. She laughed.

———

Just curious Garth. After they laugh at what you recommend and then eventually becomes reality, do any of these people like Belinda come back to see you with their tail between their legs begging you to help them or do they just disappear into the ether never to be heard from again?

#33 Homeowner on 01.10.19 at 7:00 pm

“So families looking for stable, long-term rental digs can’t find them. The vacancy rate falls to about zero.
So the battle rages.”

People would rent, but right now, tenants have too much rigghts in yuor house, and they know it. So people like me who would want to rent long-term, afraid to do so. It’s easy to rent, it’s hard to kick the bad renters out. They are protected by Tenant board, they can stay and not pay for months as lengthy proceedings go on. I can set the rules re pets and stuff within family, but once they moved in, it’s they home, and if they decide to have a barking hair-shedding wall scratching family member, hey, they can do it. Basements is a separate story as well. Lots of reasons right now not to rent, but have less money and peace of mind.

#34 Adter Communism on 01.10.19 at 7:03 pm

If these people come in and don’t pay enough taxes and then leave, that bids up the property prices, but if they stay I see the difference, because those pay enough taxes.

#35 TurnerNation on 01.10.19 at 7:04 pm

Exclusive: map of cranes in Toronto.
Look for Kip.

https://svnrock.ca/apartment-crane-watch/

#36 Smartalox on 01.10.19 at 7:06 pm

“They’re gold mines,” she says. “I’m clearing $30,000 a year on each one doing short-term rentals.” Turns out, that’s true – at least for now.

One reason that a lot of strata corporations, condo boards and other people don’t move to sue people who profit illegally from these short-term rental schemes like Belinda’s is that they have no idea that the schemes are so profitable.

Thanks to Belinda, (and Garth), now they do.

As a owner-occupier, would you put up with short-term party rentals in your building, if you knew they were clearing $60 000 a year at your expense?

Your condo board should increase their fines for these sorts of violations – from $500 a month, to $5000 – or even $50 000! Pays for a lot more legal and investigative work.

#37 Hans on 01.10.19 at 7:09 pm

Garth, is it feasible that the market would correct itself in this regard? Let’s say people are renting out many of the shoeboxes in the sky for a nice return, wouldn’t that simply trigger more demand for investment condos until the market is saturated and then competition would bring prices down?

#38 LivinLarge on 01.10.19 at 7:11 pm

I think there may be a simple answere to this but I just don’t know it.

Home insurers all want absolute assurance that someone is in a house every 2-3 days or the won’t payout on any claim. And this lady must have a sepparate principal residence so can’t really hide the fact that she’s keeping two often vacant condos or are they really rented more than 20 days each month? Or could she just claim she visits each unit every 2-3 days?

She doesn’t sound like someone who is likely to insure them as rental units but hey who knows.

This all sounds like a real diaster waiting to happen.

#39 crowdedelevatorfartz on 01.10.19 at 7:21 pm

@#119 Headhunter
“Look at the Herbivore men of Japan.. thats whats coming.
actually no its already here…”
+++++

Good one.
canada.
The “politically correct” emasculation of the worker bee……
PC nazi’s take note.
Dont complain when there’s no honey

#40 LivinLarge on 01.10.19 at 7:23 pm

Smartalox got me thinking about how lucrative this ABnB deal is. Can there really be so many folks wanting a couple of days in TO to keep both these condos rented at least 2 days per week, week in week out for the entire year? I can see the summer season and maybe a month on the shoulder of the summer.

Just never thought this could be so stable a business model. Wow!!

#41 TurnerNation on 01.10.19 at 7:25 pm

Impossible. They tried this 20 years ago with the banning of Internet music file sharing. Too late.
The cat’s out of the bag and swinging

Always there will be an app or website for short term rentals. No amount of policing can sway.
Regulate and tax it.

#42 joblo on 01.10.19 at 7:27 pm

Just remember, all these problems in the “Post Nation State” are Harper’s fault.

#43 David Pylyp on 01.10.19 at 7:29 pm

Great perspective!

They are in the condo lobby! Suitcases in tow! PARTAY all weekend then POOF gone.

Building needs extra security and cleaning staff to deal with ewhhhh… elevator Up chucks that you step around…

Carpet needs steam cleaning again…
Bulletin Board says “Can we please sleep this weekend instead of having a KEGGER?”

Condo boards demand of one year minimum leases is directly in conflict with “Tenant has the right to “…
a) Give notice of departure N11
b) Lock out spouse .. abuse or intimidation claim
c) Landlords right to rent

Hard to see each side; No one challenged the condo board YET

David Pylyp
Toronto

#44 Suburban Bob on 01.10.19 at 7:37 pm

Interesting common link you point out, Garth. Both Uber and AirBNB have had the doors thrown wide open to them by the indifference and ineptitude of the people at Municipal Licensing & Standards of the City of Toronto. A bunch of failed or wannabe cops who have a long history of willful blindness and failure to enforce any laws. Lots of insider connections. They have destroyed the taxi industry there. Now, hardworking drivers who got screwed by Uber-friend John Tory and the idiots at ML&S are about to sue the city for $1.7 billion. My guess is they will win. Wonder what that will do to property taxes in Toronto?

https://www.taxinews.com/

#45 Ustabe on 01.10.19 at 7:37 pm

Kind of funny reading all the supposed conservative folks (both small c and large C types) arguing for more government rules and regulations including government strictures against human beings.

The Hilton family really needs you all lobbying your local governments for more rules that benefit them, right?

#46 Al pek on 01.10.19 at 7:40 pm

My family hasn’t been able to find a suitable rental in Vancouver for over 5 months now. There are hundreds of illegal basement suites and laneway homes listed on Aribnb. The city implemented regulations in the past year but there has been no enforcement. All of the best neighborhoods have hundreds of listings on Airbnb, these are the areas that are transit friendly/walkable that should be lived in by long term residents. Not sure where the city expects its citizens to live in who haven’t inherited 1+ million/can’t afford mortgages/housing costs of $4K+/month.

#47 expat on 01.10.19 at 7:42 pm

Eventually it wont be strata councils stopping this. No my friends it’ll insurance companies who stand to lose millions in claims…

I know insurance company folks who say insurance companies are gathering data to comfirm residence use…

They are bringing in short term rental insurance at some point.

From what my buddies say.
It isn’t gonna be cheap

Oh and just wait, CRA is monitoring AirBNB now as well.

One thing history shows us is that when everyone standing the port or strboard side of the boat

It tips

#48 expat on 01.10.19 at 7:45 pm

The IRS and CRA are using AI to analyse claims and the AI monitors many types of disrupter apps…..

You just know they will pull the trigger at some point.

I would suspect after the next election.
They certainly don’t want bad press for the Liberals…..

Now to knock off a few high profile conservatives….

Well they may make an exception…

#49 ShawnG in TO on 01.10.19 at 7:48 pm

revenue canada must demand annual earning numbers for individuals working at uber and airbnb. equivalent to a t4 . these companies know exactly how much was earned in each deal. revenue canada have no reason not to have them too.

#50 Long-Time Lurker on 01.10.19 at 8:02 pm

#76 Justmarried on 01.08.19 at 11:27 pm
Hi Garth, first time poster, long time reader. Great blog you have. My husband and I are 35 we have 300k roughly and all invested in stocks. We have 2 utility stocks, 2 financials, 2 telecoms and 2 low yield high growth. I don’t see how we can go wrong, especially with owning bns, fortis, cn & bce. How can fortis go bankrupt? I pay their bill monthly, I use the bank of Nova Scotia. Can you shed some light on this so I understand a little more.
Thanks
Irene

#48 Imconfused on 01.09.19 at 8:01 pm
Hi mr.turner, I pay my fortis bill every month will be paying it till I die. I’m 32, why not own fortis, bns, bce, cn rail or enbridge. I’m no rocket scientist but what’s the chance of them going bankrupt? I own 40k of each stock. Please shed some light so I can understand why I should have my 200k in etfs only.
Thank you
Doris

>SmarterSquirrel and some others here are using your strategy. I’ve been wondering what the flaw in this strategy is myself. Braj, maybe you know?

I’ll say this: In a recession, business profits may be down and they’ll cut their dividend. Also, the value of the stocks may drop if you want to sell them. The value of the loonie could tank to 60 cents (in 2022) and you’d be paying a lot more in the U.S. with the currency exchange.

#51 Fish on 01.10.19 at 8:03 pm

Seafood giant Clearwater convicted of ‘gross violation’ in lobster fishery

Senior management ignored DFO warnings about storing traps at ocean bottom

Paul Withers · CBC News · Posted: Jan 09, 2019 7:23 PM AT | Last Updated: 6 hours ago

https://www.cbc.ca/news/canada/nova-scotia/seafood-giant-clearwater-convicted-gross-violation-lobster-fishery-1.4971558

#52 Vision on 01.10.19 at 8:06 pm

I will be laughing at Belinda when the rules change. I wish Toronto would hurry up, sort out the legalities and go the way of Vancouver.
Poor Belinda may be selling at a loss.Lol.

#53 Drill Baby Drill on 01.10.19 at 8:09 pm

“Airbnb keeps the units full of young hipsters flying in from exotic places like Sarnia and Moncton to get wasted in the Big Smoke.”
That’s funny!

#54 stage1dave on 01.10.19 at 8:11 pm

My knee-jerk reaction is that the free enterprise system is functioning as it should when I read stuff like this…

Once I turn it over in my mind a bit, looks like another symptom of allowing the unrestricted movement of capital anywhere and everywhere, with little or no oversight; while the movement of us humans is to be endlessly scrutinized with constant oversight.

#55 For those about to flop... on 01.10.19 at 8:11 pm

Pink Snow falling in Richmond.

These guys just got a bump up in assessment but thought the best course of action was to cut 50k off the price tag.

The details…

5020 Hollymount Gate.

Paid 1.35 May 2017

Originally asking 999k then up to 1.59

Now asking 1.38

Assessment 2017 1.29

Assessment 2018 1.49

So they tried the 999k thing, didn’t work.

Next step was, jack it up to the make it worth our while price, didn’t work.

Followed by the, I’m not taking a loss on Vancouver real estate, let the buyer pay the closing costs, didn’t work.

Not sure if these guys have figured out they might have gotten some bad information in May 2017.

2016 in the first half was explosive.

2016 in the second half was unexpected.

2017 in the first half was disappointing.

2017 in the second half was confirmation.

2018 in the first half was trendsetting.

2018 in the second half was deflating…

M44BC

https://www.zolo.ca/richmond-real-estate/5020-hollymount-gate

#56 Definitely not Michael on 01.10.19 at 8:16 pm

Questions…What if…

– Belinda is operating in a building which explicitly allows short-term rentals like AirBnb (and has infrastructure to support it)?
– Has short-term rental insurance
– Declares all income to the CRA
– Would happily pay licensing fees etc if they came into existence
– Thoroughly vets guests to ensure appropriate behaviour and conduct (eg respects property and neighbours)

If so, is this not a legitimate business?

Uber and Airbnb are here to stay as evidenced by their extreme popularity/usage, therefore wouldn’t it be better to focus on ensuring these entrepreneurs play nice and build closer more friendly communities? Blockbuster died and Netflix lives. Figure it out.

#57 Drill Baby Drill on 01.10.19 at 8:18 pm

My suggestion on the Air B&B issue is to cut it way back in every municipality in Ont. except for TO. Make downtown TO a huge money making zone. Sort of like an “Air B&B Red Light Zone” except it is a slightly different way of making BIG money. TO can skim off the top (they need the cash).

#58 Trading Naked on 01.10.19 at 8:19 pm

Stratas are surprisingly toothless in enforcing their own bylaws. This townhouse owner broke every bylaw in the book and racked up tens of thousands in fines with her short-term rental operation, yet it took FOREVER to shut her down: https://www.cbc.ca/news/canada/british-columbia/they-can-accuse-me-of-anything-owner-of-illegal-hostel-defiant-as-strata-says-she-is-in-contempt-of-court-1.4851607

Someone I know did some tentative house-hunting last year in Vancouver. She says that some houses looked to be renovated with short-term rentals in mind. And when realtors showed them mortgage calculations, they seemed to expect that part of the house would be Airbnb’d, because how else could you survive in Vancouver, right?

Airbnb’s can cause parking wars between neighbours, too. If the townhouse has one parking space but is hosting people day in and day out….

#59 yvr_lurker on 01.10.19 at 8:31 pm

#9 and #22
I would not be at all surprised if one of the group of money exchangers under RCMP investigation was able to give a bribe to someone in the investigative team to “accidentally” slip in the name of the informant into official documents, knowing full well this would sink the case. It is unfathomable to me that such a silly error by someone (who we presume is well-trained in their jobs) would screw up years of work by many people investigating this issue and securing the evidence needed. Heads should roll; the person responsible for the fundamental screwup should be BOOTED out of their job.

Good to know that the RCMP can resume its focus on the little people; grandpa crossing the border with an extra 6-pack, parents buying their kids school supplies in Bellingham etc… Go after those people with Gusto!…. forget the big fish… the cases are way too complicated to go after….

#60 Drill Baby Drill on 01.10.19 at 8:33 pm

Why are the overbloated Hotel chains able to put up shop in downtown TO but no one else can supply the obvious demand ? Air B&B is a fantastic idea. I live west by north west of Lakeshore Blvd 4 x 10^3 kilometres and use them for 2 – 3 nights several times a year when visiting my daughter there. A 1 bdr condo is 1/3 of the Marriot or others.

#61 Asterix1 on 01.10.19 at 8:42 pm

Couple of gang members rented a short term unit at the Ice Condos (next to ACC). A fight broke out, guns out, shots fired, people running away, cops arriving, couple of arrests and you can thank Airbnb for that…

Was reading that 600 of 1300 units in those Ice towers are short terms! Damn, if I was an owner living there, I would sell ASAP!

#62 Mattl on 01.10.19 at 8:43 pm

Your argument against airbnb looks a lot like the arguments against foreign ownership. Want to talk about Dark Home Syndrome? Walk Coal Harbour, I’m not sure anyone lives there any time of year. Barely any furniture on patios winter or summer and dark dark dark. These are not airbnb rentals.

#63 PeterfromCalgary on 01.10.19 at 8:45 pm

Did anyone else realize the math on this ain’t that great. If the places are worth $500000 each $30,000 is only a 6% return. After expenses it is even less.

With stock market down it would make sense to sell an use that money to buy cheap ETFs.

#64 A Yank in BC on 01.10.19 at 8:50 pm

Wherever I go, a Hilton is a very nice place to stay, serves a wonderful breakfast, and as a professionally run business, is accountable for their product and services. They want me as a customer and make darn sure I’m happy. Why in the world would I give all that up for the massive uncertainty of what an Airbnb would be like?

#65 Bk on 01.10.19 at 8:56 pm

Crooked even when they are not working….

#66 will on 01.10.19 at 8:56 pm

#11

“let’s ban websites so people read newspapers”

sorry man but the best journalism is not in the msm. it is in the alt media. my advice is the opposite: let’s ban newspapers so people read alt media.

as for “let’s ban Netflix so people go to movie theaters” i say let’s just ban hollywood and get it over with.

#67 For those about to flop... on 01.10.19 at 8:58 pm

Pink Snow falling in Vancouver.

These guys have been going since March 2017 to no avail.

The details…

3282 w 33rd ave,Vancouver.

Paid 2.98 November 2015

Originally asking 3.68

Now asking 2.99

Assessment 2017 3.25

Assessment 2018 2.90

So they got in late 2015, before the final blowout sale, but to be honest such was the mania back then there didn’t seem to much of a lull between the fall 2015 market and Spring Fling 2016, which started the implosion of the market as we had come to know it.

The last decade and a half there has been some unsavoury behaviour in Vancouver real estate.

Just because it’s unsavoury doesn’t make it sweet…

M44BC

https://www.zolo.ca/vancouver-real-estate/3282-west-33rd-avenue

#68 mike from mtl on 01.10.19 at 9:02 pm

#40 TurnerNation on 01.10.19 at 7:25 pm
Impossible. They tried this 20 years ago with the banning of Internet music file sharing. Too late.
The cat’s out of the bag and swinging

Always there will be an app or website for short term rentals. No amount of policing can sway.
Regulate and tax it.

///////////////////////////////////////////////////////////////

Agreed.

Over twenty years ago the same was said about PayPal (the bitcoin of the day) and eBay (get rich without paying taxes). Eventually the IRS/CRA/HMRC saw the potential easy win to easily strong-arm them.

I’m fine with the idea in theory, but the actual reality of competing with zero oversight and taxation means the natural greed of humanity. Housing being especially precarious, what’s next? Energy?

..What you actually pay for a regulated electric utility?

As much as the libertarians object, conventional laws at least in spirit are there to separate Somalian ‘liberty’ from traditional ‘decency’.

#69 dakkie on 01.10.19 at 9:03 pm

Real Estate FALLOUT in U.S, Australia, and Canada! Economy 100% Dependant On Property Bubble!

https://www.investmentwatchblog.com/real-estate-fallout-in-u-s-australia-and-canada-economy-100-dependant-on-property-bubble/

#70 Nobel Laureate on 01.10.19 at 9:15 pm

AirBnB and Uber are simply the “creative destruction” part of capitalism at work. There is no need for legislation, the “invisible hand” will work everything out if allowed to do its thing. There is no crises.

The fact of the matter is the “dark houses” in Lunenburg would be equally dark in the off season as they are now, but also dark in most of the “peak season” without AirBnB. What BnB is doing is bringing tourists to Lunenburg in the summer that might not otherwise come. And it is simply silly to suggest it is causing a housing shortage unless there is some sort of shortage of lumber that I am unaware of. Especially in a place like that. If you don’t have enough houses, you build more houses. It’s simply an economically illiterate position to say AirBnB is doing anything other than increasing utilization, tourists, and money into the region. They don’t rent out units that are fully utilized otherwise.

So what happened to taxis after Uber? Well, I still use them but now they have an app and better service and lower rates. How am I to see this as a downside? Plus it’s not some guy in a car, there is still a company you can sue if the driver physically assaults your daughter. I’ll pay a little extra for that.

AirBnB is right to refer to this as the “hotel lobby”. If it’s my property, it is mine to exploit as I wish. Now if you have a restrictive covenant then that is what you have and you have to abide by it, but that’s too bad for you if that’s what you signed up for. That’s why you never buy a property you don’t own right to the property line. You don’t really own a condo, you own a share in the association and a right to live in one of the units. That’s it. And you only get one vote. It’s a collective.

As with all things government, legislation here will only make everything worse and more expensive. The only thing the government should have any concern at all over is whether these new businesses are paying their taxes, so that everyone pays the same rate. Preventing new businesses from offering new services has only one purpose and that is to protect whatever oligopoly currently exists.

And the fact is that hotels have an oligopoly that needs to be taken down. Their rates are far too high. The taxes on them are outrageous, but can be sustained because people don’t have a choice.

Folks, all economic problems can be fixed on their own when people have freedom to own property, freedom to chose how they work, and freedom to chose what they buy. This has been known since we first knew anything about economics. Taxes are an unavoidable evil layered on top but as long as everyone pays the same rate all they do is slow down progress. The higher the taxes the more they slow down progress but we remain in it together.

Do you think that the “land transfer tax” helps the Toronto or Vancouver markets produce more housing? Well, it can’t if it’s applied to new housing. The HST didn’t either. It makes the new housing more expensive to buy. Taxes only slow things down, sometimes considerably.

#71 KLNR on 01.10.19 at 9:25 pm

@#44 Ustabe on 01.10.19 at 7:37 pm
Kind of funny reading all the supposed conservative folks (both small c and large C types) arguing for more government rules and regulations including government strictures against human beings.
______________________________

haha, so true.

I use uber/lyft and airbnb exclusively.
Its more about the convenience/service than the cost.
AirBnB is particularly great for renting cottages throughout the summer.
Apparently there’s a car subscription service in the works as well – bubye to leasing/financing vehicles.

#72 genbizx on 01.10.19 at 9:34 pm

Once again I say that regulations matter very little if enforcement is weak…it’s a joke in this country and this is only one example.
Wonder how a massive money laundering case is suddenly thrown out because maybe someone “accidentally” exposed an undercover operative…
Wow….again I say Wow!!!! Billions laundered yearly..into real estate and other assets…what an absolute miscarriage of justice….
Canada is indeed open for business!!!!
Welcome to a new member of the big five banks
“The International celestial shadow bank of Canada”
Maybe there’s a blog idea here Garth

#73 TurnerNation on 01.10.19 at 9:34 pm

Our elite rulers always are playing us. As they say….Divide us and then they must defeat only 1/2 of the group.
We had Bad Guy H when USA had Good Guy Obama.
Now it’s Good Guy T2 and Bad Orange Man down south.
(Nice hair x2 though)
Next up will be a Big Blue Baddie up here and another more personable Actor below us

Lifetime acting achievement awards go to N. Korea and Cuba (Friends of T1) with their endless parade of scions set for life. Makes for great propaganda headlines for us.

#74 Raging Ranter on 01.10.19 at 9:41 pm

An excellent synopsis of precisely how AirBnB rentals harm communities. For the property rights chest beaters, your right to do what you want with your property ends long before you start doing real harm to the community.

#75 toronto1 on 01.10.19 at 9:47 pm

Air BnB is here to stay no doubt but it will be at a huge cost.

City of Toronto is going to exploit this cash cow- just wait and see- right now there is more regulation involved in operating a hot dog cart then there is an airbnb.

my predictions below: City of Toronto will:

require the purchase of a (insert fancy name) Licence to operate an airbnb. the city will make a deal with air bnb that only those with this licence number will be allowed to post on their site. the cost of the licence will be $1500-$2000 per year. Must prove ownership, proper insurance etc…

The city will collect a 10% hotel tax on all transactions

The city will then adjust the mill rate for property tax on these units to reflect the commercial use of the properties- nothing crazy but an extra $1000 -$1500 per unit per year

As stated above- insurance companies will offer policies to reflect the commercial use- mu guess double what insurance costs now- ie. your home insurance is $600- with airbnb use will be $1200

with all that paper trail- there goes the capital gains exemption status of the property……….oh an i forgot- CRA will lean on AirBnB for information about Canadian properties and AirBnB will oblige just like ebay and others have done….. so assume that any income will now be taxable.

So my guess, to legally operate a airbnb it will cost approx $3500-$4000 in fees and charges in a year per unit. Still easy profit to be made and not enough to deter people from AirBnB their units but enough to satisfy the city

plus it will now collect the 10% hotel tax on all bookings.

#76 Maestro on 01.10.19 at 9:49 pm

ALL SMOKE AND MIRRORS

The government or anyone in particular will never achieve anything with regards to stopping AIR BnB just like UBER eventually win out as you noted.

Stay the course, keep Air BnBing those condos….after all, where else would the hookers be able to do business!

#77 The real Kip on 01.10.19 at 10:02 pm

#34 TurnerNation on 01.10.19 at 7:04 pm
“Exclusive: map of cranes in Toronto.
Look for Kip.

https://svnrock.ca/apartment-crane-watch/“

You won’t find me on any of them as I gave up on high rise in favour of Nuclear Power stations 5 years ago and now I’m retired at 60. Only idiots work the trades.

#78 akashic record on 01.10.19 at 10:04 pm

#63 A Yank in BC on 01.10.19 at 8:50 pm

Wherever I go, a Hilton is a very nice place to stay, serves a wonderful breakfast, and as a professionally run business, is accountable for their product and services. They want me as a customer and make darn sure I’m happy. Why in the world would I give all that up for the massive uncertainty of what an Airbnb would be like?

We use Airbnb for various reasons.

When vacationing with large family, you can rent amazing houses, virtually as big as you want, at beautiful places. This environment gives much better shared experience to spend time together than renting separate hotel rooms.

If traveling alone or two, three people together, you can rent places that are comparable with the best hotel rooms – but right where you want to spend most of your time.

In my experience the owners of Airbnb locations were eager to provide great service. They are basically owner operated independent franchises, arguably at least as motivated to make you happy as hotel employees. The feedback system about hosts and guests works quite well, it is quite reliable.

#79 Dolce Vita on 01.10.19 at 10:11 pm

For once, Gov’s in Canada are NOT AMBITIOUS enough in COLLECTING TAXES or monitoring.

1. Also collect a Revenue Withholding Tax.

Airbnb in BC collects PST as well as hotel taxes for local governments. In Quebec, Airbnb collects a tax on lodging.

The Feds and Provincial Gov’s need to impose a REVENUE Withholding Tax on all transactions, similar to taxing RRSP withdrawals, and have Airbnb et. al. collect that.

The Owner’s can sort out Revenue Withholding Taxes come income tax filing time.

The Fed’s should force Airbnb to also collect GST for them.

That will take care of the tax cheats whom I loathe.

2. Registration fee for all new listings on Airbnb et. al., $1,000 minimum.

Owner information with that money going to the Province and Fed’s, collected by Airbnb et. al. That way if Owner’s re-list a property to evade taxes or fines, they pay the price each time.

————————————-

If you can’t beat them, make money off them I say.

Also, make it messy for them tax wise.

#80 TurnerNation on 01.10.19 at 10:18 pm

Consider this idea: Toronto’s spare hotel/motels and homeless shelters burst at their seams with extra influx of refugees and irregular migrants.
The Feds could source all these empty homes in sleepy towns coast to coast and ship these people there, where there is space. From tony Van to homey NS, fill in your share. :-)

#81 What I Think I Don't Know Is Nothing on 01.10.19 at 10:18 pm

OK. The powers that be are NOT really interested in hurting RE values. Period. Also, they are not really interested in truly regulating ride sharing either. They just want to make it look like they are. Isn’t that obvious to anyone with a few years under their belt and half a brain?

Politicians always pretend they are doing something to justify their jobs. Trump is one of the very few that actually tries to do something that is impactful and tangible.

#82 Nonplused on 01.10.19 at 10:24 pm

#73 Raging Ranter

How does AirBnB harm my community? My daughter works at a coffee shop and they get more traffic from the BnB’s than anyone else. These are tourists. Tourists = money. Money my daughter can earn rather than being unemployed. Money in the community that wasn’t here before.

There are a lot of idiots out there that do not know how economies work. Sure, my young daughter is only serving up lattes, but without customers she would be doing nothing.

Let’s talk about ski hills. Sure, 75% of their revenue is locally generated. But what about the other 25%? That comes from overseas and those people also rent hotels and maybe BnB’s. That’s a lot of new money. Should we make a law that says ski hills can only sell lift tickets to locals? You are an idiot if you think that is good idea. But those people need somewhere to stay. They also need a restaurant to eat in somewhat on line with what they are spending. No more fondue by your ideas. The whole talk is silly. And fondue is good by the way. Yum I like me some steak fondue.

#83 Dolce Vita on 01.10.19 at 10:24 pm

…forgot to mention:

BC Finance Ministry reckons Airbnb will collect $16-million a year for them, as well as an additional $5-million to local governments (2018).

The Federal Gov. asleep at the wheel having Airbnb et. al. collect GST.

Then again, our PM will probably pledge it all away in 1 night via Twitter to some Gender Equality and/or Social Justice Warrior TV Funding Drive hosted by some quack nobody (that doesn’t know they are).

Ya I know, Buonanotte.

#84 What I Think I Don't Know Is Nothing on 01.10.19 at 10:30 pm

Well articulated arguments against AirBnB. Some would say that the same arguments could be made against foreign RE ownership. However, that would not be politically correct. Rather, it is politically correct to say that foreign RE ownership is non relevant.

Actually, I don’t want to raise the ire of the me too masses, or any other special interest factions, so forget what I just foolishly stated. It is stupid and I don’t know nothing.

#85 NothingBurger on 01.10.19 at 10:34 pm

@ #58 yvr_lurker, Re: #22 & #9

Yes it is unfathomable because the whole thing stinks of corruption. CBC and other news outlets are always pointing to corruption in far away lands like Venezuela or Brazil or Russia so that you don’t ask to many questions about the massive corruption right here at home. The sooner Canadians wake up, the sooner the thieves and their liars can be chased out of town.

As you say, it was purposeful mistake for the RCMP to expose the informant and sink the case. They definitely got their marching orders from someone to stop the investigation. Unlike TV show cops, courage and valor has no home at the executive levels of policing.

Canadians completely underestimate the amount of wealth controlled by communities in Richmond BC and the amount of power this has in politics and beyond. You don’t need to be eligible to vote in Canada to influence policy and destiny of this country.

Even quiet towns like Sarnia or Lunenberg will feel the affects in unexpected ways that do not appear to have direct links to places like Richmond BC.

“The straightest tree is the first to be cut down. The well with the sweetest water is the first to be drained.” – Chinese proverb

#86 What I Think I Don't Know Is Nothing on 01.10.19 at 10:35 pm

“They’re gold mines,” she says. “I’m clearing $30,000 a year on each one doing short-term rentals.” Turns out, that’s true – at least for now. – Garth

————————————————

I still say that GTA RE prices (more specifically Toronto) will always find a way to go up. There is no reason to fear toothless regulations or pretend interest rate increases. In 10 years time, today’s prices will seem mouth watering.

#87 Ryan-partuber on 01.10.19 at 10:37 pm

to #19 BlogDog123.
re: uber & regulations :
In Alberta :
1. must be > 21
2. must have class 4 license, $150 to get doctor note to bring to registry, must do 1 hour road test + written test.
3. must bring photo ID & pay $70 for YEARLY police background & vulnerable sector check. in calgary you get fingerprinted.
4. car cannot be > 10 years old
5. car MUST pass inspection every year, including bumpers & windows in ok & operating condition.
6. car insurance company must insure you as uber driver, separate from what Uber does (commercial insurance)
7. commercial license plate & registration, costs more
8. stickers on front & back window, or else $1,000 fine.
9. zero alcohol / drug tolerance policy
10. NO criminal record allowed, or charges pending
11. no more than 2 infractions last 3 years demerits
12. no one charge of 4 demerits or more in last 3 years.

I drove in Edmonton from 9:30pm to 4am new year’s eve. I saw 4 cabs…all no passengers…and lots of Ubers.

you CAN work within the law and make money. The government does not make the best business decisions for the people : imagine if they ran the oil business. they can’t make money selling Weed, they make money selling oil ? LOL.

#88 the ryguy on 01.10.19 at 10:38 pm

Stay the course, keep Air BnBing those condos….after all, where else would the hookers be able to do business!
————————————————————–

I actually overheard a conversation between a couple younger “entrepreneurs” about this…I think a lot of people would be SHOCKED by how common this is.

Yeah some of the traffic is youngsters wanting to get wrecked in TO..but a lot, like a mind boggling amount of air bnb rentals are..how do I put this delicately.. very short term indeed.

#89 Ab power on 01.10.19 at 10:56 pm

You own a condo you should be able to decide what to do with it hence why you own it. Only in this capitalistic, over regulated country will a govt have the balls to tell you how to own your own assets. Sorry, I don’t feel bad for hotels one bit. It’s called a free market. If you disagree just compare the bank fees you pay or cell phone plans to real free markets.

#90 Fish on 01.10.19 at 10:59 pm

All News

https://news.ontario.ca/archive/en

#91 Old Dog New Tricks on 01.10.19 at 11:01 pm

Most people it seems that are running an AirBnB, basement suite, Uber or whatever seem to be under the impression that it’s all tax free. Good luck.

#92 Correction on 01.10.19 at 11:07 pm

#75 Maestro – The high class ladies own their exclusive condo, and bring nobody there; nor would they ever go to an Air BnB. They meet the gentlemen at the best hotels in the city for discussion and playtime. Oh, had one for an investment client who had excess cash and was buying mortgages at the time.

#93 crossbordershopper on 01.10.19 at 11:07 pm

this has been going on for a long time, not just when air bnb showed up on the scene. short term rental of cottages since i was a kid in the 70’s in resort towns. owners never lived there,
and rental of hotel rooms, omg , first job out school was at a hotel, i guess when i was getting an education, others needed to rent hotel rooms and do orgies and drugs and stuff.
and then there was the ‘short term’ rental, for you know, people who just need a room for a little time.
the stories i could tell, i only remember a few of the weird ones working the night shift.
my buddy dave, and the nigerian night cleaner. it wasnt the obvious prostitutes that we saw it was middle aged people and we made bets who went with who. i lost the first few until i got to know the sign, its the women who would be nervous and shy and simply went up the elevator, guys always look stupid most of the time anyway.

#94 Greg on 01.10.19 at 11:08 pm

#35 Smartalox: a big problem is people simply ignore strata fines and, in order to enforce, the strata is forced to seek remedy through the court system ie expensive and time consuming for volunteer strata council members.

#95 viorelli on 01.10.19 at 11:12 pm

@ #45 Al pek

My family hasn’t been able to find a suitable rental in Vancouver for over 5 months now. There are hundreds of illegal basement suites and laneway homes listed on Aribnb. The city implemented regulations in the past year but there has been no enforcement. All of the best neighborhoods have hundreds of listings on Airbnb, these are the areas that are transit friendly/walkable that should be lived in by long term residents. Not sure where the city expects its citizens to live in who haven’t inherited 1+ million/can’t afford mortgages/housing costs of $4K+/month.

You have not yet received your notice that this city is now off limits to normal, hard working family with kids. It is now a self governed territory similar to Macao! If you are a money launderer, property flipper, or better else Air B and B owner, living upstairs, while renting out your lane way home and producing methamfetamina in the basement. Better to be situated on a corner lot with cameras and a dog sign. More parking and privacy! BCLC is here to help you dry clean your cash, you have free medical, and your identity can be concealed due to a risk of identity theft. Make sure you get a good lawyer and neighbors who can bail you out prior to moving here. Good luck in BPOE!

#96 crowdedelevatorfartz on 01.10.19 at 11:24 pm

20 YEARS ago(almost before the internet!) a friend of mine worked for Fed Ex.
He delivered all over Vancouver.
A new condo tower was built in the Downtown core that was impressive.
Secure underground parking.
Trendy bars and restaurants on the ground floor retail space.
Huge Gym/Fitness center on the second floor.

Shiny, new condo tower. Looked awesome from the outside.
1 year later.
He came into my office mid day, mid week, ” Holy F***! I was in the condo down the street making a delivery and just watched a girl shoot up drugs ,on the elevator, right in front of me”….
He went down to the security guard at the desk and reported it.
“The gangs in this building do what they want.”, was the bored response .
He made regular deliveries to that building and watched it get trashed…

AirBnb only accelerates the demise of neighbourhoods…. if you can even consider a Highrise beehive a “neighbourhood”.

I would NEVER trust an anonymous vendor using an anonymous service to get me the “best” deal on a place where I’m supposed to sleep.

Hotels may not be cheap but they do have minimum standards(and elevators).
Call me Luddite…

#97 Dan on 01.10.19 at 11:27 pm

#11

So true.

Airbnb and Uber are the future. You can fight it and lose. Or embrace it and make money.

#98 IHCTD9 on 01.10.19 at 11:29 pm

#74 toronto1 on 01.10.19 at 9:47 pm
——

Air would be fools to make that deal with the city, as all it takes is the rise of one new short term rental app. (which is unaffected by said deal) and they’ve screwed themselves. They know where their bread and butter lies, and it ain’t with agreeing to make their users rentals more expensive than a hotel room.

#99 alan dee on 01.10.19 at 11:50 pm

housing is a public good, built in accordance with various zoning and bylaws of the time , in which a massive shift such as that enabled by the internet and airbnb never needed to be contemplated.

its obviously destructive to communities as Garth points out.

if you can’t afford a home other than by airbending it, then you can’t afford it.

any government jurisdiction that does not deal with it is negligent or just trying to hold on to votes

regulate it and tax it

#100 crowdedelevatorfartz on 01.10.19 at 11:53 pm

Hmmmm
The 2nd largest oil reserves in the world.
Millions starving.
Millions leaving.
All the Latin American countries on Venezuela’s border dont recognize the “election as legitimate…..
The top military officer in the country asked the leader to resign two weeks ago.
But the former Bus driver and newly “elected” Leader chooses to remain…

https://www.reuters.com/article/us-venezuela-politics/venezuelas-maduro-starts-new-term-as-u-s-decries-him-as-usurper-idUSKCN1P40DH

Can you spell “coup” or “junta”?
I knew you could…..

#101 Trojan House on 01.11.19 at 12:02 am

Yeah, I’m not really sure how Uber is not considered a taxi service. Problem is that governments allow it. In the city where I live, the municipal government allowed Uber to operate, so governments are enablers. AirBnB should also have to follow municipal regs for hotels, etc.

#102 Ponzius Pilatus on 01.11.19 at 12:16 am

#11 renter in Surrey on 01.10.19 at 6:13 pm
let’s ban Netflix so people go to movie theaters

let’s ban websites so people read newspapers
————
Totally agree.
But, not gonna happen.
It’s what they call progress.

#103 DON on 01.11.19 at 12:21 am

#46 expat on 01.10.19 at 7:42 pm

Eventually it wont be strata councils stopping this. No my friends it’ll insurance companies who stand to lose millions in claims…

I know insurance company folks who say insurance companies are gathering data to comfirm residence use…

They are bringing in short term rental insurance at some point.

From what my buddies say.
It isn’t gonna be cheap

Oh and just wait, CRA is monitoring AirBNB now as well.

One thing history shows us is that when everyone standing the port or strboard side of the boat

It tips
***********
Orrrr TIMMMBERRRRR !

The Insurance companies become the cops.

Gotta replace revenue loss from real estate related activities.

Revenue streams for the CRA, Insurance Companies and local governments. Maybe strata’s will demand a cut?

Sad day for personal freedom to some extent – wait till they start charging per passenger for your car insurance(?).

But hey…

Bad boys, bad boys whatcha gonna do?
Whatcha gonna do when they come for you?

Inner Circle – Bad Boys Lyrics | MetroLyrics

I see a future reality show for Insurance investigators.

#104 PastThePeak on 01.11.19 at 12:43 am

So many crying about “conservatives” in the steerage section wanting NEW government regulations. Not at all. Just regulating the industry within the existing framework.

Utilizing a rental property for short term rentals is offering a hotel service. As long as the condo owner
– does it in a building which allows it per their bylaws
– in a part of the city zoned for it
– abides by those bylaws
– has the correct insurance
– pays hotel taxes per province and muni
– and declares the revenue

…then no problem for me. Similar for Uber.

There are of course restrictions on Home based businesses already. I can’t start a retail store out of my house, as an example.

Myself and wife owned an investment condo in Florida for 5 years [2012 – 2017], and we rented it out the majority of the time possible. Through VRBO and other sites. But it was fully allowed by the building association – it was built with this in mind. Different buildings had different minimum stays (1 week, 2wks, or one month). Rules for the guests of owners. Fully reported on taxes.

If Ms Carlisle is following all the rules, then no issue, right?

#105 Free enterprise on 01.11.19 at 12:48 am

It’s a business now. Lease a luxury home (that can’t sell) in a hot tourist area and rent it out on Airbnb and the 20 or so other sites.

Home has a renter now. Everyone wins.

Short term renters don’t wear out appliances and the place is professionally cleaned after each rental. It is growing very fast and higher end properties tract good travelers.

http://Www.luxhomepro.com if you want to see an example of what people are now doing. Welcome to the new economy. We’ll all need to adapt when they automate the 40% of all jobs over next few years.

#106 saskatoon on 01.11.19 at 2:10 am

one side of the argument involves initiating violence.

the other does not.

there exists only one real option for the moral person.

#107 can't do math on 01.11.19 at 2:59 am

Math is so hard. So I used Excel. If the government charges a $10 “occupancy fee” per hotel room isn’t that $3560 a year? What the heck.

#108 This is crap on 01.11.19 at 3:13 am

My liquor guy just sold out. Had to. Now I can buy the same 40 pounder for $0.18 less but another Canadian is out of work and I imagine pretty much broke. I won’t be stopping by there anymore. I’ll go to the co-op. The co-op has this cute girl on shift now and again. She’s flirty. I’ll pay a bit more.

#109 Bod Dog on 01.11.19 at 3:47 am

The Censorship is strong with this one. Beware the snake charm.

#110 STM on 01.11.19 at 4:18 am

Belinda laughed because she is going to make a lot of money at the expense of the local population and faces no actual risk for doing so. This is the place to be for that kind of thing.

#111 jane24 on 01.11.19 at 5:19 am

My main problem with Air B&B in Canada is that most owners cheat the taxman. No problem with it if all profits are declared and if a condo, then the condo board allows it. Last Air B&B we rented in TO asked for the money to be deposited in a friend of theirs bank account in Ireland and the condo building when we arrived was festooned with notices forbidding Air B&B. Sooner or later it will get sorted.

#112 Howard on 01.11.19 at 5:59 am

AirBnB isn’t even that cost-effective for budget travellers anymore.

When I moved to Europe in 2014 I stayed in various AirBnB in my new city for the first 6 months. Three different apartments for stays of between 1 and 3 months each. At that time it was CHEAP! Not just cheaper than hotels (but a long shot) but also significantly cheaper than medium-term furnished rentals that cater to expats. It was a great way to save money while I found my footing in my new country. I also got to experience several different neighbourhoods which aided me greatly in figuring out where I wanted to live long-term.

I used AirBnb frequently when travelling as well. One place in central London near Kings Cross I paid around £45 a night in mid-summer – an unbeatable price for city centre during the high season.

Now? Forget about it! I recently looked into AirBnbs in Dublin and was shocked at the prices. They’re now on par with 3-star hotels, even bordering on 4-star. I get that there are intangible benefits, in that you’re literally staying in a “home” away from home, but at some point I’d think for the exact same price many travellers would rather have a nice clean hotel room.

#113 Howard on 01.11.19 at 6:02 am

#104 Free enterprise on 01.11.19 at 12:48 am
It’s a business now. Lease a luxury home (that can’t sell) in a hot tourist area and rent it out on Airbnb and the 20 or so other sites.

Home has a renter now. Everyone wins.

Short term renters don’t wear out appliances and the place is professionally cleaned after each rental. It is growing very fast and higher end properties tract good travelers.

http://Www.luxhomepro.com if you want to see an example of what people are now doing. Welcome to the new economy. We’ll all need to adapt when they automate the 40% of all jobs over next few years.

————————————-

No problem but they shoud have to pay all the same taxes and comply with the same regulations as any hotel.

#114 Howard on 01.11.19 at 6:09 am

#11 renter in Surrey on 01.10.19 at 6:13 pm
let’s ban Netflix so people go to movie theaters

let’s ban websites so people read newspapers

———————————————–

Ridiculous analogy. We’re talking about homes (shelter – a necessity), not entertainment (a want).

And the real issue for me is that AirBnb landlords operate as hotel managers without following the same regulations or paying the same taxes as actual hotels.

By your logic we should allow any average joe or jane to set up an abattoir in their background and sell meat that has not been subject to the strict safety, sanitary, or animal welfare rules as legitimate abattoirs. Because, you know, free market (except it isn’t free if competitors play by different sets of rules).

#115 Howard on 01.11.19 at 6:17 am

Garth if you’re opposed to DHS, why the ire directed at BC’s empty house tax?

Turning a property into a business is not equal to using a residential home on a part-time basis. – Garth

#116 Howard on 01.11.19 at 6:26 am

#70 KLNR on 01.10.19 at 9:25 pm

Apparently there’s a car subscription service in the works as well – bubye to leasing/financing vehicles.

—————————————–

That’s been around for the better part of a decade. It’s called AutoShare. Or its competitor, Zip Car.

#117 Howard on 01.11.19 at 6:30 am

#44 Ustabe on 01.10.19 at 7:37 pm
Kind of funny reading all the supposed conservative folks (both small c and large C types) arguing for more government rules and regulations including government strictures against human beings.

The Hilton family really needs you all lobbying your local governments for more rules that benefit them, right?

—————————————

Juvenile, simple-minded comment.

I think you’ll find that most conservatives are perfectly fine with sensible government regulations on things that actually matter – food, clothing, shelter.

What they oppose are laws/regulations of that kind that toss people before a Human Rights tribunal if they refuse to utter a made-up gender-neutral pronoun.

#118 Howard on 01.11.19 at 7:41 am

#29 AM in MN on 01.10.19 at 6:55 pm

Would your ode to the free market also extend to abolishing the CMHC so that banks assume 100% of the risk of their mortgage bets?

I’ll wait.

#119 Steven Rowlandson on 01.11.19 at 7:56 am

Belinda and her fellow travelers are quite likely to be financially caught and killed due to the bubble bursting and further tax and legal reforms that could be made.

All glory is fleeting said the slave to the conqueror during the triumph.

#120 miketheengineer on 01.11.19 at 8:17 am

Garth et al:

I opened my paycheck today. Compared with last year the government increased CPP and Fed Tax. I now have 150 dollars less in my pay check. That is 300 on the month.

So how exactly am I supposed to save for my retirement when the Fed Government takes all my money. I don’t know why they took that much (salary didn’t increase) or who is going to get it. But it left a sour taste in my mouth, and has pissed me off incredibly. I know when I go to vote next time…it will not be for Mr. Fancy Pants and his friends in Ottawa.

The people in Ottawa know nothing about the concept of “velocity of money”. If the money is in the hands of the people, they will spend it…..and spend it and spend it….etc. And the government will get their share of tax money collected on all the transactions.

Taking 300 off my monthly budget pushes me closed to becoming bankrupt. Thanks Mr. Fancy Pants, I live paycheck to paycheck. I wonder how many other people are going to get their pay check this week and see this happening to their pay check. Will it be enough to push others over the edge….force selling of homes etc.

#121 crowdedelevatorfartz on 01.11.19 at 8:19 am

@#116 Howie
“What they oppose are laws/regulations of that kind that toss people before a Human Rights tribunal if they refuse to utter a made-up gender-neutral pronoun.”
****

I, zhe, zher completely……agree.
We have to make peoplekind a safer place where the 0.01% of the populations gender neutral people can be safe and to hell with the cost to taxpayers.
We don’t need police on every street corner, we need transgendered toilets with the appropriate signage!

#122 Hamsterwheelie on 01.11.19 at 8:28 am

We purpose built a small unit for Airbnb inside our house. Currently in use for my dad recovering from knee surgery and in summer for our grown kids to visit, sometimes its a day salon for a friend to colour a pack of girls’ hair.
When its an Airbnb we have guests that visit loved ones in the nearby hospital, visiting lecture profs, 2 month work visas at Stelco, docs on rotation, elderly family of neighbours (our unit is fully accessible) – so not just ‘tourists’ all these people bring something to our city and I work to keep the place immaculate.
Air bnb isn’t perfect – their insurance is tricky (most insurance is) and there are people with 100 units or more, none of which they own, this seems greefy and unstable. For us it means a flexible space and a very vested interest in keeping the street clean, parking under control plus neighbours & ourselves (living in the same building) happy. It can be done correctly but I feel like we are all going to get whacked with the same ‘you can’t do that stick’.
We need all the income we can get because of high expenses so we always claim the earnings.
And final point – we also have 2 long term renters where previously this was a single family home – wouldn’t it be great if there was a bonus for providing more housing rather than disincentives. (Taxable cap gains, higher taxes etc)

#123 Elcheapo on 01.11.19 at 8:40 am

Wow great comment section today, filled with interesting, polite, well-informed comments and none of the usual T/TDS (Trump-Trudeau Derangement Syndrome)!

#124 cl on 01.11.19 at 8:40 am

Never understood the appeal of air bnb.

#125 Midnights on 01.11.19 at 8:51 am

Bankrupt, Eh? Insolvency Filings Soar In Almost All Canadian Provinces

https://www.zerohedge.com/news/2019-01-09/bankrupt-eh-insolvency-filings-soar-almost-all-canadian-provinces

#126 Sean Moore on 01.11.19 at 9:03 am

Garth, figured you’d be all for the entrepreneur. The only issue is those that don’t subscribe to condo rules, especially a real estate ‘professional’.

#127 dharma bum on 01.11.19 at 9:14 am

The more stringent laws there are, the more taxes there are, the more rules and regulations there are, and the more legitimate businesses there are that rip us off with sky high pricing for questionable quality and service, the more the underground and shadow economy will thrive.
Uber and Air BnB are a natural outgrowth of the demand for alternatives to high priced, high taxed, low quality goods and services.

The taxi cab industry in Toronto was simply and old boys’ mafia style gangster business, aided by the corrupt municipal government by unfairly barring entry into what would be an otherwise simplistic business with a very low entry barrier. Uber bullied their way in, because there was a natural opening for them created by the greed and corruption that the industry and government were mutually complicit in. Nothing short of organized crime.

Same is happening to the lodging industry. They charge ludicrous prices for shitty rooms, while the governments at every level – federal, provincial, and municipal – gouge the consumer with taxes. It’s their vig. Consumers are fed up, so they will flock to the alternative “underground” services, which are cheaper, and better. Screw the Man.
This has been happening for decades in other industries.
Construction and renovation is one example.

No amount of regulation will eradicate it. You cannot stop something when the demand by the public to save money and gain quality is massively overwhelming.
Uber won.
Air BnB will win too.

“The more laws and order are made prominent, the more thieves and robbers there will be.” – Lao Tzu

#128 Phylis on 01.11.19 at 9:58 am

Strata not effective? Post this number on your bulletin board, maybe it will help. tel:1-866-809-6841

#129 Common sense on 01.11.19 at 9:58 am

Guys
Think about it. Everyone here are giving opinions that evade the root cause. The reason for the success of uber, Netflix, air bnb, Amazon etc is because people are trying to escape the huge cost of doing business in Canada. Make it super expensive and hold the consumer hostage with the government’s help is Canada’s way of doing business. That stronghold is falling apart with the help of American businesse model.
Note that consumers are only getting relief in areas where foreign businesses and competition has force fully penetrated our monopolistic stronghold. The main tax beneficiary, the government is not happy about this but they may not have a choice.
As is mentioned multiple times here before, governments have to focus on addressing their runaway costs as opposed to grabbing more from cash strapped taxpayers.

#130 LivinLarge on 01.11.19 at 10:16 am

“I don’t know why they took that much (salary didn’t increase)” well part of this “might” be that you are looking at January payroll deductions. In the first half (or so) of each year the payroll deductions are at their absolute highest. This is until you reach the maximum deducted for something like EI or CPP. So, if you compare a Jan pay stub to say a June pay stub you certainly could see such a discrepancy.

#131 LivinLarge on 01.11.19 at 10:25 am

Another off topic open question if I may.

Doesn’t anyone know definitively whether Northwest Healthcare REIT divs qualify for the Dividend Tax Credit?

They have properties in many countries and I thought that might disqualify them from the DTC.

#132 LivinLarge on 01.11.19 at 11:00 am

Ignore my last question about the Dividend Tax Credit…I realized my error after hitting send. Distributions are dividends.

#133 RyYYZ on 01.11.19 at 11:10 am

A couple thought on AirBnB and Uber/Lyft:

Condo building suck anyway. Typically it seems that at least half the units are rented out, and renters don’t have the same interest in maintaining the property that owners do. Oh, the unit owners care if their property gets destroyed, but they don’t care if their tenants are a disruption to everyone else in the building. AirBnB just makes that a little worse. Which isn’t to say that I want to live in a condo (or townhouse) development where a lot of units are short term rentals, but rather that I already dislike condo life, lol.

On the Uber/Lyft side: maybe it’s not the same everywhere, but in Hamilton, for example, typical big taxi companies’ cars were (unless getting one at the airport or some other place that has standards of its own) some clapped-out piece of junk. Beat up, in poor shape mechanically, dirty and smelly inside (as well-used 10-20 year old cars tend to be). With a driver who doesn’t know where much of anything is or the best way to get there. At least with Uber you typically get some sort of reasonably modern vehicle which is fairly clean and well maintained.

#134 Iconoclast on 01.11.19 at 11:14 am

This “informant” story is ridiculous.

If the name of the informant was in fact leaked to the lawyers of the accused, the informant is already compromised.

So why scuttle the current case? It makes no sense.

Canada’s slow-motion reaction to all this money-laundering makes one think our cops are either incredibly lazy or compromised. Here’s hoping they’re just lazy.

On the other hand, the RCMP bosses have their marching orders, and that their highest priority is that somebody told a dirty joke in Moose Jaw in 1992.

#135 IHCTD9 on 01.11.19 at 11:17 am

#120 crowdedelevatorfartz on 01.11.19 at 8:19 am

… we need transgendered toilets with the appropriate signage!
______

Don’t forget – this is the kind of garbage most voting Canadians wanted. Priorities are ass-backwards in Canada right now. Bring pain so we can heal. Another 4 years of these cement head Trudeauglodytes should do the trick.

#136 LivinLarge on 01.11.19 at 11:37 am

I must have had too little coffee today, “not dividends” now back to our regularly scheduled programming.

#137 IHCTD9 on 01.11.19 at 11:40 am

Whatever the government does – it’ll have to be enforced with an iron fist. We’re not talking about trying to stop drinking and driving or armed robbery where most all folks will happily oblige. We’re talking about trying to stop them from making big dollars for no work from their own (usually heavily mortgaged) residence. That’s more along the lines of trying to stop drug dealers from making their millions.

Folks will not happily go along with any changes that reduce the income stream they have gotten used to. 99% of them will dodge, fight, hide, lie, avoid, drag out, ignore – etc.. any attempt at regulation and taxation.

IMHO – on just about every front, Canadian enforcement is DISMAL. I’ve personally tested several agencies multiple times and found enforcement is just not happening. I regularly ignore permit requirements, bylaws, and regulatory requirements of all kinds. I save tons of money and headache and there are no consequences.

I think Pandora’s box has been open too long on the AirBnB front. Now they’re going to get regulated and enforced just like I do – which means they will ignore it and get away with it just like I do.

#138 WFO on 01.11.19 at 11:43 am

I’m tired of big Corp lobbying and crying about this. Hotel prices are ridiculous in major cities. How about letting the market truly work itself out instead of daddy government stepping in. Why wouldnt i rent out a 1bed unit with all amenities way cheaper then a box with a bed or two. Now I also think Airbnb should be filing t4’s for people renting our entire places.

#139 Renter's Revenge! on 01.11.19 at 11:56 am

#130 LivinLarge on 01.11.19 at 10:25 am
Another off topic open question if I may.

Doesn’t anyone know definitively whether Northwest Healthcare REIT divs qualify for the Dividend Tax Credit?

They have properties in many countries and I thought that might disqualify them from the DTC.

#131 LivinLarge on 01.11.19 at 11:00 am
Ignore my last question about the Dividend Tax Credit…I realized my error after hitting send. Distributions are dividends.

================================

It’s right there on their website:

http://phx.corporate-ir.net/phoenix.zhtml?c=235532&p=irol-taxation

BTW only “eligible dividends” qualify for the dividend tax credit.

#140 IHCTD9 on 01.11.19 at 11:57 am

#128 Common sense on 01.11.19 at 9:58 am

…As is mentioned multiple times here before, governments have to focus on addressing their runaway costs as opposed to grabbing more from cash strapped taxpayers.
____

Along with not enforcing most of their own rules – Canadian Governments also don’t do inward looking cost reductions either.

Abusive levels of taxation have the almost universal effect of causing folks to start trying to avoid them, and again – this is another Pandora’s box where once the lid is opened – it’s going to be real tough to close.

My guess is Canadian governments will wait until the problem is simply undeniable and tax avoidance is rife throughout the country before they decide taxation levels might be too high.

#141 Yellow Jacket Hardhat on 01.11.19 at 12:02 pm

Political Poloz steps in to bolster Trudeaus sagging popularity. Collapsing business numbers overwhelm Trudeaus hiring in the ghettos he’s created.

https://www.bnnbloomberg.ca/as-bankruptcies-edge-up-poloz-personally-responds-to-canadians-concerns-1.1197004

#142 TurnerNation on 01.11.19 at 12:07 pm

#119 miketheengineer I believe this paying for the
UN agenda.
H helped by raising age to 70. They know…there’s going to be a flood of people applying for these gimmie benefits in the coming year. Boomers notwithstanding it all.

#143 the ryguy on 01.11.19 at 12:19 pm

Along with not enforcing most of their own rules – Canadian Governments also don’t do inward looking cost reductions either.
—————————————————————————————–

Talk about the mother of all understatements!!

I would bet there is an EASY 30% reduction if anyone just tried.

#144 Stan Brooks on 01.11.19 at 12:34 pm

A typical immigrants success story.

https://ca.news.yahoo.com/massive-jackpot-nine-canadians-spent-5-made-60000000-190811299.html

9 Canadians made/won 60 millions… from the Lotto.

Housing in Guelph goes trough the roof.

#145 Guy in Calgary on 01.11.19 at 12:36 pm

I have used AirBNB’s in Van, Calgary, Vegas and Miami. Nothing but hassle free, positive experiences.

#146 KLNR on 01.11.19 at 12:42 pm

#115 Howard on 01.11.19 at 6:26 am
#70 KLNR on 01.10.19 at 9:25 pm

Apparently there’s a car subscription service in the works as well – bubye to leasing/financing vehicles.

—————————————–

That’s been around for the better part of a decade. It’s called AutoShare. Or its competitor, Zip Car.
———————————————————-

What I’m referring to is next level. Should have posted the link. Autoone.ca

#147 Fed Changes? on 01.11.19 at 12:50 pm

Doesn’t seem like the Feds are contemplating any changes like capping B20 or moving with 30 year amortization

https://www.bloomberg.com/news/articles/2019-01-11/trudeau-says-housing-reforms-mean-fewer-overextended-canadians?srnd=premium-canada

#148 Rural Rick on 01.11.19 at 12:51 pm

If you are pulling a fast one with CRA and think because you got the refund you were expecting you are off the hook think again. Questionable returns are usually flagged for investigation and refunded. The clowns I knew that thought they had out smarted CRA got nailed 3 years after they had started their scam. Boy did that hurt.

#149 yvrguy on 01.11.19 at 12:55 pm

no 30 year amorts?

https://www.bloombergquint.com/business/trudeau-says-housing-reforms-mean-fewer-overextended-canadians?fbclid=IwAR2mZhXV5lHVaPLD9aNeJ_Lzq1iMgt8J4eKNwxKQ_BpGmsV_tOyVrBG0ePk

#150 Guy in Calgary on 01.11.19 at 1:07 pm

#90 Old Dog New Tricks on 01.10.19 at 11:01 pm
Most people it seems that are running an AirBnB, basement suite, Uber or whatever seem to be under the impression that it’s all tax free. Good luck.
————————————————————-

According to who? I see a lot of baseless claims saying people involved in the sharing economy do not pay taxes on their income. Is this substantiated at all? I am genuinely curious.

#151 Toronto1 on 01.11.19 at 1:12 pm

IHCTD9 #97

Airbnb does not have a choice, the city basically brings in penalties to the tune of $5000 for operating without a licence, then $10 000 for second offences etc…

Easiest bylaw to enforce, all it takes is an admin with a credit card book rooms get address and cross reference,

#152 Dissident on 01.11.19 at 1:20 pm

I find it interesting that this blog is taking shots at AirBnB and Uber, both of which are slated to IPO in the next year or so. Coincidence?

Also, the rental ‘craze’ as you call it is not restricted to AirBnB – they are just the most publicly-known brand to do this kind of rental. My husband and I stayed in several private residences in Italy through Bookings.com, in much the same fashion as AirBnB. I didn’t see the town or neighborhood suffering for it. These were smaller-scale residences however; beach-town walkups and city flats.

Bottom line, the digital age is here, the sharing economy is happening, and if it’s not AirBnB, it will be Bookings.com, or some other online entity providing this service. So like, IPO already :D

#153 KM on 01.11.19 at 1:22 pm

The need of a constantly expanding market for its products chases the bourgeoisie over the entire surface of the globe. It must nestle everywhere, settle everywhere, establish connexions everywhere.

#154 not 1st on 01.11.19 at 1:34 pm

Want to see how the west questions a rogue PM. Yeah no questions about socks or what you had for breakfast.

https://www.youtube.com/watch?v=4oV8bhI5AwI

#155 jess on 01.11.19 at 1:56 pm

eightlock90 on 01.10.19 at 5:58 pm

…so they will be able to count the freckles on your face but what about how they move that money?

#9 It ain’t going to change on 01.10.19 at 6:05 pm
re: money laundering…but what about those 600 bank accts. in china
China Cracks Down On Money Laundering ?
#9 It ain’t going to change on 01.10.19 at 6:05 pm
re: money laundering…but what about those 600 bank accts. in china
China Cracks Down On Money Laundering ?

The Chinese technology helping New York police keep a closer eye on the United States’ biggest city
China is exporting its cutting-edge facial recognition across the Pacific

“It has been claimed that Hikvision’s system can accurately identify faces regardless of race, whereas some Western-developed technology had previously been more accurate for white people than for black citizens – although the NYPD has not discussed its reasons for using the Chinese technology.

The Sky Net programme, now renamed Pingan Chengshi, or Safe Cities, claimed to have connected 170 million cameras across China last year. By 2020, another 400 million units will be installed, it said, casting a watchful eye on every two citizens. Beijing plans to be able to identify anyone, anytime, anywhere in China within three seconds.
=============================================
Thousands of Sky Net cameras, aided by artificial intelligence (AI) software, have monitored River Park since 2014, according to the Hikvision website.

Cameras equipped with infrared sensors and capable of capturing high-resolution facial images even in very low light were installed in entrances, lobbies, corridors and stairwells in an effort to defeat vandalism.

The Hikvision surveillance system was bought and installed by the River Park Towers property management company, and the NYPD had direct access to the network, according to an article in Security Products Magazine.

Officers could view footage remotely and observe suspects in detail without a conspicuous police presence, the article said.

========================

gangs
https://www.scmp.com/news/world/united-states-canada/article/2130260/death-innocent-alfred-wong-moving-car-stray-bullet

“FATF was formed by the 1989 G7 Summit in Paris to combat the growing problem of money laundering. The task force was charged with studying money laundering trends, monitoring legislative, financial and law enforcement activities taken at the national and international level, reporting on compliance, and issuing recommendations and standards to combat money laundering. At the time of its formation, FATF had 16 members, which by 2016 had grown to 37
http://www.fatf-gafi.org/
https://en.wikipedia.org/wiki/Financial_Action_Task_Force_on_Money_Laundering.
=================================

..”Florence prosecutors leading the so-called “River of Money” investigation alleged that more than 4.5 billion euros ($4.78 billion) was smuggled to China from Italy between 2006 and 2010 by Chinese people living mainly in Florence and nearby Prato. About half of the money was sent via BOC, the prosecutors said. (reuters)

#156 AA on 01.11.19 at 1:59 pm

Hey Miketheengineer #119. Same thing happened to me.

Accounting department indicated that the contribution amount is higher at the beginning of the year but you should make your max contribution limit by July depending on your salary. By then less will be taken and you will be back to what you were making last year.

#157 Nice Video on 01.11.19 at 2:11 pm

#154 not 1st – a good video example dropping the mask of our PM, and why he holds town meetings in the first place. He sees himself in the role of a teacher addressing his students, which in itself is kind of weird.

#158 miketheengineer on 01.11.19 at 2:26 pm

Nope….I pulled last years Jan 2018 and compared to 2019….CPP higher and Fed Tax went up…not sure why….and the delta was 150 less. Salary was the same, deductions about the same comparing Jan 2018 to Jan 2019. Still 300 short for the month.

#159 IHCTD9 on 01.11.19 at 2:33 pm

#119 Headhunter on 01.10.19 at 3:46 pm
#109 IHCTD9 on 01.10.19 at 11:31 am
I like reading about sociological trends, specifically demographic trends, and relations between the sexes, and about the rise of Women in Western society. These are boat rocking developments
_______________________________________
Basically here is the skinny without the sugar
men used to be 3 things “protector, provider, worker bee”

1st two are gone now as the Gov’t will/has stepped in.. read into that what you will. Hence not a lot of desire for a guy to grind out a shitty job on the Plantation. Look at the Herbivore men of Japan.. thats whats coming.

actually no its already here…
____

It’s sad to see, but at the end of all the Feminism and Female empowerment – it’s starting to look like a small fraction of Women at the top of the scale will get what most already had back in the 50’s (with the exception that they will now be expected to work and make a ton of money), while a comparatively huge slice of Western Women are going to be reduced to poor working single motherhood.

Men will continue to be seen as ineligible for marriage by Women as their prospects wane, single mothers will continue to be seen as prohibitively risky by Men, so they move from one to another.

I can’t see how anything good can come from these developments.

#160 miketheengineer on 01.11.19 at 2:33 pm

Rental Story

Friend of mine calls at Xmas. Has several rental properties in London, UK. All financed. Guess what? One got trashed. Turns out it was rented out as some kind of drug / party den by the management company she hired to watch over the unit (collect rent take care of maintenance) . 30,000 UK pounds to repair. 3 months lost rent. And the building is now taking her to court, and she had to hire a lawyer. Big mess, lots of stress. Potential for profits as well as losses.

FYI…it is a business and it has risks. When markets rise you look brilliant, when they fall well not so brilliant.

#161 DON on 01.11.19 at 3:19 pm

#96 crowdedelevatorfartz on 01.10.19 at 11:24 pm
20 YEARS ago(almost before the internet!) a friend of mine worked for Fed Ex.
He delivered all over Vancouver.
A new condo tower was built in the Downtown core that was impressive.
Secure underground parking.
Trendy bars and restaurants on the ground floor retail space.
Huge Gym/Fitness center on the second floor.

Shiny, new condo tower. Looked awesome from the outside.
1 year later.
He came into my office mid day, mid week, ” Holy F***! I was in the condo down the street making a delivery and just watched a girl shoot up drugs ,on the elevator, right in front of me”….
He went down to the security guard at the desk and reported it.
“The gangs in this building do what they want.”, was the bored response .
He made regular deliveries to that building and watched it get trashed…

AirBnb only accelerates the demise of neighbourhoods…. if you can even consider a Highrise beehive a “neighbourhood”.

I would NEVER trust an anonymous vendor using an anonymous service to get me the “best” deal on a place where I’m supposed to sleep.

Hotels may not be cheap but they do have minimum standards(and elevators).
Call me Luddite…
””””””””””””

Was that building across the street from the law courts. Was the gym run by two brothers. Never ever really had that much traffic. Never more than a handful of people working out at one time. It was great until I realized the guy working out next to me was shot in gas town a few months later.

Can’t imagine what Van is like now…20 years later?

#162 n1tro on 01.11.19 at 3:31 pm

#74 Raging Ranter on 01.10.19 at 9:41 pm
An excellent synopsis of precisely how AirBnB rentals harm communities. For the property rights chest beaters, your right to do what you want with your property ends long before you start doing real harm to the community.
———————————–
True if you are referring to safety or morality ie. your right to bear arms in the US does not allow you to store munitions in your home which endangers the community or making your home a brothel.

Community rights does not extend to dictating what someone can do in their own home which does no harm to others such as renting it.

#163 NoName on 01.11.19 at 3:42 pm

Press play.

https://www.youtube.com/watch?v=ppMjnqom0Hg

In this lively interview and beer tasting in front of a live audience at Google’s Venice Beach campus, noted beer journalist John Holl discusses his new book, “Drink Beer, Think Beer.” John covers a wide range of subjects including the history of beer and its role in the founding of the US, the science and craft of beer, how to taste beer, and even sexism in the beer industry. You’ll learn a lot about the best beverage in the world during this fun and educational talk!

#164 Arctic Gringo: Qalunaaq on 01.11.19 at 4:06 pm

I think StatsCan already had a jump on it:

https://www.fin.gc.ca/activty/consult/2019/ob-bo/obbo-report-rapport-eng.asp

Who’s in for consented sharing of personal finance information?

#165 JB on 01.11.19 at 4:12 pm

#161 DON on 01.11.19 at 3:19 pm

#96 crowdedelevatorfartz on 01.10.19 at 11:24 pm
20 YEARS ago(almost before the internet!) a friend of mine worked for Fed Ex.
He delivered all over Vancouver.
A new condo tower was built in the Downtown core that was impressive.
Secure underground parking.
Trendy bars and restaurants on the ground floor retail space.
Huge Gym/Fitness center on the second floor.

Shiny, new condo tower. Looked awesome from the outside.
1 year later.
He came into my office mid day, mid week, ” Holy F***! I was in the condo down the street making a delivery and just watched a girl shoot up drugs ,on the elevator, right in front of me”….
He went down to the security guard at the desk and reported it.
“The gangs in this building do what they want.”, was the bored response .
He made regular deliveries to that building and watched it get trashed…

AirBnb only accelerates the demise of neighbourhoods…. if you can even consider a Highrise beehive a “neighbourhood”.

I would NEVER trust an anonymous vendor using an anonymous service to get me the “best” deal on a place where I’m supposed to sleep.

Hotels may not be cheap but they do have minimum standards(and elevators).
Call me Luddite…
””””””””””””

Was that building across the street from the law courts. Was the gym run by two brothers. Never ever really had that much traffic. Never more than a handful of people working out at one time. It was great until I realized the guy working out next to me was shot in gas town a few months later.

Can’t imagine what Van is like now…20 years later?
……………………………………………………………………..
That my friend is communal living, the door is literally always open so anyone gets in. If you have a $15 an hour security guard 24 / 7 patrolling the place you pay for it and you get what you pay for. Even with security these people get in.

#166 Tater on 01.11.19 at 4:13 pm

#146 KLNR on 01.11.19 at 12:42 pm
#115 Howard on 01.11.19 at 6:26 am
#70 KLNR on 01.10.19 at 9:25 pm

Apparently there’s a car subscription service in the works as well – bubye to leasing/financing vehicles.

—————————————–

That’s been around for the better part of a decade. It’s called AutoShare. Or its competitor, Zip Car.
———————————————————-

What I’m referring to is next level. Should have posted the link. Autoone.ca
————————————————————–
Next level? lol. Its an online store where you can lease a used car. Not a subscription at all.

#167 JohnAB on 01.11.19 at 4:16 pm

People will adapt. If they’re gonna be allowed to airbnb only their primary property, then you’ll see a lot of families where the wife’s home address in in their house and the husband’s is in some kind of condo.

Spouses cannot have two principal residences. – Garth

#168 jess on 01.11.19 at 4:19 pm

i guess we should roll with the times

rome : aside from hawking there was prostitution
===================

A Vindication of the Rights of Woman: with Strictures on Political and Moral Subjects (1792), written by the 18th-century British proto-feminist Mary Wollstonecraft, is one of the earliest works of feminist philosophy. In it, Wollstonecraft responds to those educational and political theorists of the 18th century who did not believe women should have an education. She argues that women ought to have an education commensurate with their position in society, claiming that women are essential to the nation because they educate its children and because they could be “companions” to their husbands, rather than mere wives. Instead of viewing women as ornaments to society or property to be traded in marriage, Wollstonecraft maintains that they are human beings deserving of the same fundamental rights as men.

A_Vindication_of_the_Rights_of_Woman

https://bebusinessed.com/history/history-of-women-in-the-workforce/

http://www.thelaborsite.com/women1.cfm

#169 jess on 01.11.19 at 4:38 pm

train routes cutbacks (record)
wroute : tesla’s for seven riders guelph -kitchener 20bucks? so what happened to the “story” of all the young techie commuters?
=================
fathers of a past life indeed!

“life, liberty, and the pursuit of happiness”
abuses of industrial child labor – opportunity for poor families so that those kids could EAT.

Alexander Hamilton, as Secretary of the Treasury, noted in a 1791 report on manufacturing that children “who would otherwise be idle” could become a source of cheap labor.” (from : https://www.bls.gov/opub/mlr/2017/article/history-of-child-labor-in-the-united-states-part-1.htm)

buying and selling human beings
Jefferson nail factory compared to that?
https://www.monticello.org/site/plantation-and-slavery/nailery

https://www.smithsonianmag.com/history/the-dark-side-of-thomas-jefferson-35976004/

#170 Smartalox on 01.11.19 at 5:13 pm

@Greg #94:

If the fine for illegal short term rental is $500/mo., the strata won’t be motivated to incur the costs of enforcement. If the fine is $5000/mo., the motivation to enforce increases significantly.

Also, the profitability of illegal short-term renter’s revenue stream decreases significantly as well, with higher fines.

#171 jess on 01.11.19 at 5:18 pm

https://www.wired.com/story/iran-dns-hijacking/